This article provides a detailed overview of the Tax Collection at Source (TCS) provisions under Section 206C of the Income Tax Act, 1961. It covers:
– The applicable TCS rates for various categories of goods.
– The TCS rate applied when a Permanent Account Number (PAN) is not provided or is inoperative.
– The TCS rate applicable to specified persons, particularly non-filers of income tax returns.

By reading this article, you will gain valuable insights into the key TCS regulations, ensuring you remain compliant and well-informed in your professional dealings.

It is the duty of a Resident Individual under Income Tax rules to disclose his Foreign Assets & income earned abroad while filing the return. It is also important here that even if this income is not taxable in India, it has to be disclosed.

The Finance Bill 2021 introduced section 206AB for a higher deduction of TDS. Before the Finance Bill, 2021 a higher deduction of TDS was covered in section 206AA for not furnishing PAN to the deductor of TDS. With the introduction of section 206AB, the Income Tax Act, 1961 covers a situation wherein a higher deduction of TDS is mandatory for a specified taxpayer.